What Is the Value of a 25-Year Bond with a $1,000

question 47

Multiple Choice

What is the value of a 25-year bond with a $1,000 face value and an 8% coupon rate that yields 4%?

• A) $ 716.84
• B) $1,124.67
• C) $1,624.88
• D) $ 996.53
• E) $1,087.22

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Definitions:

Cross-Sectional Study

A type of observational study that analyzes data from a population at a specific point in time.

Ethical Issues

Controversial questions or dilemmas that arise in the context of professional conduct, often related to morality, ethics, legality, and human rights.

Research Participants

Individuals who take part in a research study, providing data through their responses or behaviors for the purpose of scientific investigation.

Longitudinal Study

A research design that follows the same subjects over a period of time, allowing for the observation of changes or developments in the subjects.